The waste fee costs more
than the tax itself.
Property tax in Varna is 2 per thousand of the tax assessment. The household waste fee is 1.5. For a primary residence the tax drops by half, and the fee does not drop at all.
“Property tax” means three different things
Acquisition tax: one-off, 3% for Varna Municipality, paid by the buyer at the deal. It is part of the bill for the day: the day at the notary.
Tax on real property: annual, 2 per thousand of the tax assessment (данъчна оценка), paid by the owner for as long as they hold the property.
Tax on sale under the Personal Income Taxes Act (ЗДДФЛ): on the profit, with conditional exemptions: taxes when selling a property.
And a fourth, which is not a tax: the household waste fee (такса за битови отпадъци). It is owed for a service, not for ownership, and that is exactly why it does not follow the tax reliefs.
The fee is 60%
of the bill.
The tax drops by half for a primary residence, to 1 per thousand. The fee stays in full, 1.5 per thousand. Hence the reversal: what everyone calls “the property tax” is the smaller part of the bill.
And it moves: from 1 January 2025 the waste fee jumped by 53%, from 0.98 to 1.5 per thousand. For non-residential property owned by companies it is 5.97 per thousand of the book value.
The decision belongs to the Municipal Council (Общински съвет), not to the market, and it can change again.
The acquisition is recorded automatically. The relief is not.
Since 1 January 2019 no declaration under Art. 14 of the Local Taxes and Fees Act (ЗМДТ) is filed for the acquisition itself: the data reach the municipality automatically.
But the reduction for a primary residence (основно жилище) is not granted automatically. It is claimed with a separate declaration under Art. 27 of the Local Taxes and Fees Act, within the two-month period. If it is not filed, the full rate is paid every year until the omission is noticed.
⚠️ And one common mistake: the primary residence is one per family, not one per spouse. If two are declared, the relief is lost for both properties, and for the whole period backwards.
Someone else’s unpaid tax
stops your deal.
Under Art. 264(1) of the Tax and Social Security Procedure Code (ДОПК), the absence of unpaid liabilities is certified in the tax assessment. The transfer itself is allowed after the notary runs an electronic check with the National Revenue Agency (НАП) for the seller’s public liabilities (since 3 May 2024).
The limitation period under Art. 171 of the Tax and Social Security Procedure Code allows liabilities to be pursued 5 years back, with an absolute limit of 10. And an expired tax assessment certificate stops the deal on the very day of signing.
The seller pays for the month of the transfer (Art. 28(3) of the Local Taxes and Fees Act). The buyer owes from the beginning of the following month.
Two years from rough construction
Under Art. 15(5) of the Local Taxes and Fees Act, tax is owed if the building is not put into service within two years of completion at the rough construction stage (груб строеж).
An off-plan buyer who thinks tax is only payable from Act 16 (Акт 16) can be wrong by a whole year. The date is not in the brochure but in Act 14 (Акт 14): what exactly you are buying at each stage.
Frequently asked questions
How much are property tax and the waste collection fee in Varna for 2026?
The tax on real property is 2 per thousand of the tax assessment (Art. 14 of the Varna Municipal Council ordinance), and the household waste fee for residential property is 1.5 per thousand (Appendix 1, Art. 18 of the fees ordinance). For a primary residence the tax drops by 50%, to 1 per thousand, but the fee stays in full. That is why the waste fee is about 60% of the annual bill and the tax about 40%. For non-residential property owned by individuals the fee is 5.66 per thousand, and for non-residential property owned by companies 5.97 per thousand of the book value.
Do I have to file a declaration after buying a property with a notarial deed?
A declaration under Art. 14 of the Local Taxes and Fees Act for the acquisition itself has not been filed since 1 January 2019; the data reach the municipality automatically. But the reduction for a primary residence is not granted automatically: it is claimed with a separate tax declaration under Art. 27 of the Local Taxes and Fees Act, within the two-month period under Art. 14(1). If it is not filed, the full rate of 2 per thousand is paid instead of 1 per thousand, every year, until the omission is noticed.
Can spouses declare one primary residence each if they have two properties?
No. Under § 1, items 2 and 3 of the supplementary provisions of the Local Taxes and Fees Act, the primary residence is one for the citizen and their family, and the family is the spouses and their underage children who are not married. If more than one primary residence is declared, the relief is lost for both properties, for the whole period of simultaneous declaration, meaning backwards too, not only going forward.
Who pays the tax for the month in which the property is transferred?
The seller. Under Art. 28(3) of the Local Taxes and Fees Act, the tax due up to the transfer, including for the month of the transfer, is paid by the transferor before the deal. The buyer owes the tax from the beginning of the following month (Art. 15(2) of the Local Taxes and Fees Act). If the property is acquired after 31 October, that is, after the deadline for the second instalment, the tax is paid within two months of the date of acquisition (Art. 28(4) of the Local Taxes and Fees Act).
Can someone else’s unpaid tax stop my deal?
Yes. Under Art. 264(1) of the Tax and Social Security Procedure Code, the existence or absence of unpaid tax liabilities for the property is certified in the tax assessment. The transfer itself is allowed after the notary runs an electronic check with the National Revenue Agency for the seller’s public liabilities (since 3 May 2024). A deal made in breach of the procedure under para. 4 is valid between the parties, but cannot be enforced against the municipality with respect to its claim (para. 5). The limitation period under Art. 171 of the Tax and Social Security Procedure Code allows liabilities to be pursued 5 years back, with an absolute limit of 10 years. The tax assessment certificate has a period of validity, and an expired certificate stops the deal on the day of signing.
One box in the declaration
Check whether your property is declared as a primary residence. If it is not, you pay double the tax every year, for no reason and without anyone telling you.
Send us the tax assessment and whether you live in the property. We send back the real annual bill and which relief you are entitled to.
This material is not legal or tax advice. The specific case should be checked by a specialist.
Comments
No comments yet, be the first.